Finance
A Mississippi homeowner who defaults on their mortgage has a potential 'deficiency judgment' risk after foreclosure because:
AThe foreclosure sale proceeds always exceed the debt
BIf the foreclosure sale proceeds are less than the outstanding debt, the lender may pursue the borrower for the remaining balance✓ Correct
CMississippi law requires deficiency judgments in all foreclosures
DDeficiency judgments only apply to commercial loans
Explanation
If the foreclosure sale price is less than the outstanding loan balance (plus fees), the lender may seek a deficiency judgment against the borrower for the remaining unpaid balance. Mississippi law governs when deficiency judgments are available.
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